Dealer Association Exec Reacts to Legislation

Recent conversations in statehouses and on Capitol Hill have gotten the attention of farm equipment manufacturers and dealers.

In Nebraska and New York, lawmakers have discussed their own versions of a Fair Repair Act, bills that would require manufacturers make available to buyers all diagnostic repair tools for their products’ electronic components. Traditionally,
diagnostic tools have been accessed through repair channels such as dealerships or service centers.

Similarly, language in a bill in the U.S. House of Representatives says “if a computer program enables any part of a machine or other product to operate, the owner of the machine or other product is entitled to transfer an authorized copy of the computer program, or the right to obtain such copy, when the owner sells, leases, or otherwise transfers the machine…”

The Nebraska bill did not make it out of committee, and the New York bill has been discharged from committee, but HB862 remains under review.

Andrew Goodman, President/CEO of the Iowa-Nebraska Equipment Dealers Association, wrote a commentary recently on the legislation, specifically in Nebraska and D.C., saying the “ramifications of this legislation for both the manufacturer and dealer are enormous.”
 

Goodman made these points:

• Consider the dealer’s investment and expertise in supporting the equipment they sell. Today’s machinery is sophisticated and expensive, with advanced technology that requires trained support service. Dealerships make enormous investments in computers and service centers and extensively train support technicians. It is hard to imagine that someone who is not highly trained would be able to support this equipment to that level.
   
• Consider the safety and environmental impact. Manufacturers and authorized dealers are required to ensure machines meet safety and environmental requirements. When a customer modifies a piece of equipment and brings it to an authorized dealer for service, the dealer must return the equipment to the safety and environmental standards originally required. An unauthorized repair person could modify the equipment and dismantle the safety and/or environmental components.
   
• Consider the impact of this legislation on manufacturer warranties. If manufacturers are to provide warranty protections, they must know that the equipment is being properly maintained, serviced and utilized for the purpose it was engineered. Without these assurances, a warranty would likely be void.

Finally, these bills could affect copyright and patent laws. Manufacturers invest in developing new products and protecting their innovative ideas through copyright and patent laws. This legislation could negatively impact a manufacturer’s desire to develop new products.

Goodman concluded by encouraging dealers to speak up about the legislation in their own communities.   Source: Equipment Dealer News